Simply earlier than the FTC moved to close it down, Digital Altitude transferred over half one million {dollars} to Paradise Media Ventures.
There doesn’t seem to have been any legit cause for the switch, and so now the Receiver is demanding the funds again.
Paradise Media Ventures is run by John Souza (proper). The corporate offered Digital Altitude with “sure academic supplies” from round August 2016.
By November 2016 the enterprise relationship had turned bitter, with Paradise Media Ventures claiming Digital Altitude was in breach of contract.
A $600,000 settlement in favor of Paradise Media Ventures was reached.
On January fifth, 2018, Digital Altitude was purported to pay the remaining $300,000 settlement steadiness. As an alternative they erroneously despatched Paradise Media Ventures $600,000.
Upon realizing this error, Mary Dee contacted DA’s financial institution to reverse the inaccurate $600,000 fee, however the financial institution suggested that it may take as much as every week for that reversal to be effectuated.
Having initiated a reversal request by means of DA’s financial institution, as a way to guarantee that PMV acquired the fee it was entitled to and couldn’t declare a default, it grew to become crucial for DA to ship one other fee of quantities due.
This noticed Digital Altitude switch one other $105,000 to Paradise Media Ventures on or round January twelfth.
After making the January 12, 2018 funds, DA discovered from its financial institution that the reversal of the inaccurate January 5, 2017 $600,000 overpayment to PMV was rejected by PMV’s financial institution.
Naturally Digital Altitude approached Paradise Media Ventures and Souza for a handbook switch again… however as a substitute of returning the overpayment Souza ghosted them.
DA made a number of calls for to PMV to return the funds that have been overpaid, which all drew no response.
PMV’s principal, John Souza, merely went darkish on DA and shortly thereafter this motion and receivership resulted in a change of management over DA.
Makes an attempt by the Receivership to recuperate the $515,000 overpayment from Paradise Media Ventures have been initially met with silence.
Finally Souza entered into negotiation discussions with the Receiver, nevertheless up to now “these discussions haven’t been fruitful” (learn: Souza is refusing at hand over the cash).
On March fifteenth the Digital Altitude Receiver filed a clawback movement in opposition to Paradise Media Ventures.
The movement requests an order requiring Paradise Media Ventures flip over the $515,000 it was overpaid.
PMV has no legit entitlement to the Overpaid Funds, however nonetheless it refuses to remit them to Receiver as repeatedly demanded.
The movement is supported by a declaration by Mary Dee.
Lately Souza is pitching Social Media Magic College (SMMU).
Souza claims SMMU has 75,000 college students and is “probably the most trusted social media agency”.
I can’t see Souza placing up a lot of a protection right here, so it’s fairly seemingly he’s going to get steamrolled in court docket and need to return the funds.
Keep tuned…
Replace twenty third March 2019 – There’s a March 18th order that “continues the movement” from Could thirteenth to June third.
The order doesn’t point out a movement so I’m undecided what precisely is being continued.
In any occasion, appears to be like just like the Receiver’s movement in opposition to Paradise Media Ventures gained’t be resolved till June third on the earliest.